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Re: st: peer variable coefficient estimate nonsense


From   Nick Cox <njcoxstata@gmail.com>
To   statalist@hsphsun2.harvard.edu
Subject   Re: st: peer variable coefficient estimate nonsense
Date   Thu, 1 Mar 2012 07:56:14 +0000

You need to think very carefully how to parameterise this. You don't
give any comment on how far these age variables are correlated. You
might be better off with a different representation, e.g. predictors
of

age, (peer average - age)

Nick

On Thu, Mar 1, 2012 at 7:45 AM, Jian Zhang <jian32@gmail.com> wrote:

> I was running a OLS regression of student scores on her/her own age
> and his/her peers' average age. The results show that the coefficient
> estimate of the peer average age is much much larger than own age
> estimate.  This does not not seem to be plausible as one would believe
> that own age would matter much more than peer average age to own
> scores.  any thoughts/comments?  looks like whenever adding peer
> characteristics, the regression results does not make sense!

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